Monetary Policy
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Japan's two-year government bond auction on Friday showed weaker demand amid speculation of central bank tightening.
Japan's two-year government bond auction on Friday showed weaker demand amid speculation of central bank tightening.
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Bank of Japan (BOJ) hawkish policy board member Naoki Tamura attended the Jackson Hole Symposium, while Governor Kazuo Ueda was absent, cooling market expectations for an interest rate statement.
The move was seen as unusual and dispelled market speculation that the Bank of Japan (BOJ) would make any statements on the future direction of interest rates. Naoki Tamura is considered one of the mo
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The Jackson Hole Economic Symposium has commenced, with central bankers from around the world gathering in Wyoming.
The Jackson Hole Economic Symposium has commenced, with central bankers from around the world gathering in Wyoming.
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Bank of Korea hikes rates by 25 basis points to 3%, highest since January 2025, as core inflation remains elevated
The Bank of Korea's decision to raise rates for a second straight time comes as core inflation in Asia's fourth largest economy climbed to 2.6% in July, its highest level since December 2023. Addition
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Indonesia's sole central bank governor candidate Destry Damayanti outlines 'pro-growth' policies, vows close government synergy while maintaining independence
Damayanti underwent a parliamentary "fit and proper" hearing for the position on August 26.
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Kevin Warsh, Chairman of the Federal Reserve, will speak for the first time this Friday at the Jackson Hole conference, with the market focusing on policy coordination with the Treasury on long-end yields.
Kevin Warsh's speech was his first public statement since the controversial July interest rate decision. Previously, US Treasury Secretary Scott Bessent directly intervened in the market last week by
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Democratic Lawmakers Urge Fed Chair Kevin Warsh to Maintain 8 FOMC Meetings Annually, Fearing Weakened Policy Responsiveness
Democratic Lawmakers Urge Fed Chair Kevin Warsh to Maintain 8 FOMC Meetings Annually, Fearing Weakened Policy Responsiveness
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Bessent's Policy Moves on Treasury Debt Management May Pressure Warsh
Recent policy actions by US Treasury Secretary Bessent, particularly concerning Treasury debt management and previous currency policies, have raised questions about potential pressure on Warsh, especi
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European Central Bank (ECB) official Cipollone: European corporate competitiveness should be enhanced by removing internal restrictions in the single market
In an interview, Piero Cipollone, a member of the European Central Bank (ECB) Executive Board, stated that Europe should fully leverage its vast single market advantage by reducing barriers to the fre
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Why is Bitcoin thriving but struggling to replace the US dollar?
Bitcoin has achieved significant growth and widespread acceptance globally, thanks to its decentralization, scarcity, censorship resistance, and its narrative as "digital gold" for value storage. However, its inherent drastic price volatility, transaction speed limitations, lack of universal fiat currency status, and governments' control over monetary policy make it difficult to become a stable everyday transaction medium and global reserve currency like the US dollar. Bitcoin and the US dollar each play different roles, and it is difficult for them to replace each other in the short term.
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TD Securities expects that the Federal Reserve Chairman Kevin Warsh may bring moderate comfort to the market at next week's Jackson Hole Symposium.
TD Securities analysts noted that markets will focus on signals from Federal Reserve Chair Kevin Warsh regarding his policy approach and a reaffirmation of his commitment to fighting inflation. The fi
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San Francisco Federal Reserve President Daly stated that the Federal Reserve's policy is in a good state.
She responded to the recent bond sell-off and suggested that the U.S. Treasury market is signaling that monetary policy is in a good place.
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Bank of America's August survey indicates Federal Reserve Chair Kevin Warsh is expected to strike a neutral tone at the Fed’s Jackson Hole meeting later this month.
However, the survey also shows 31% of respondents anticipate a hawkish message, signaling tighter monetary policy, while only 7% expect a dovish stance, pointing to limited expectations for a softer p
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An economist at the SF Fed estimates the medium-run neutral rate to be around 1.5%, suggesting current monetary policy is accommodative if underlying inflation is at least 2.5%.
An economist at the SF Fed estimates the medium-run neutral rate to be around 1.5%, suggesting current monetary policy is accommodative if underlying inflation is at least 2.5%.
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Citadel Securities says spiking yields reflect Fed policy risk, as the Fed's reluctance to tighten keeps long-term bond yields at multiyear highs
Citadel Securities says spiking yields reflect Fed policy risk, as the Fed's reluctance to tighten keeps long-term bond yields at multiyear highs
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Treasury Yields Fall as Investors Await Latest FOMC Minutes; 10-Year Yield Drops Over 2 Bps to 4.6743%
On Monday, Treasury yields moved lower as traders looked ahead to the latest FOMC minutes, which are due to be released on Wednesday. The 10-year Treasury note yield fell over 2 basis points to 4.6743
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Bank of Japan (BOJ): Will continue to raise interest rates and adjust the degree of monetary easing to stabilize core CPI inflation around 2%
The Bank of Japan (BOJ) stated in its July 2026 "Outlook for Economic Activity and Prices" report that it would continue to raise interest rates and adjust the degree of monetary easing in response to
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Thai Baht Rally May Fade as Central Bank Likely to Maintain Dovish Stance, Analysts Say
Analysts suggest the nascent rally in the Thai baht could be short-lived, as the central bank is expected to maintain a dovish policy stance to support an economy impacted by elevated oil prices.
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Federal Reserve insider Nick Timiraos: The Federal Reserve should reduce its reliance on lagging data and instead focus on forward-looking developments such as energy and AI capital expenditures.
Nick Timiraos, a Wall Street Journal reporter widely regarded as a "Fed whisperer," published an article reflecting on whether the Federal Reserve, when formulating its forecasts, should reduce its re
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Bank of Japan (BOJ) plans to further reduce JGB purchases, targeting around JPY 2 trillion per month by Q1 2027
The Bank of Japan (BOJ) today released its Market Operations Report for fiscal year 2025, stating that at its monetary policy meeting in June 2025, the bank decided to reduce its monthly Japanese gove
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Bank of Japan (BOJ) July meeting summary of opinions showed strong internal calls for accelerating interest rate hikes, with market expectations for a September hike exceeding 60%.
The "Summary of Opinions" from the Bank of Japan (BOJ)'s Monetary Policy Meeting on July 30-31, released on August 10, revealed intense early calls for interest rate hikes within the committee, includ
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Analysis points out a paradox in the Federal Reserve's policy: tightening credit for the private sector while remaining tolerant of expanding government deficits.
Wallstreetcn.com analysis points out that the Federal Reserve has failed to achieve its dual mandate over the past five years, with inflation consistently deviating from the 2% target, and small and m
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Bank of Japan (BOJ) expects underlying CPI inflation to gradually increase, reaching price stability target by late FY2026-FY2027, with significant upside risks to prices
The Bank of Japan (BOJ) released its Summary of Opinions from the July 30-31 Monetary Policy Meeting, projecting that underlying CPI inflation is likely to gradually increase, reaching a level consist
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Rosenberg Research Senior Market Strategist Mehmet Berceren Explains Why Higher Bond Yields Are Here to Stay, Citing Lower Demand, Higher Supply, and Policy Uncertainty
Rosenberg Research Senior Market Strategist Mehmet Berceren Explains Why Higher Bond Yields Are Here to Stay, Citing Lower Demand, Higher Supply, and Policy Uncertainty
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Federal Reserve Chairman Kevin Warsh’s plan to reduce annual interest-rate decisions raises investor concerns about increased volatility in the $32 trillion Treasury market.
Federal Reserve Chairman Kevin Warsh’s plan to reduce annual interest-rate decisions raises investor concerns about increased volatility in the $32 trillion Treasury market.
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The European Central Bank (ECB) kept its three key interest rates unchanged. Lagarde stated that rising energy prices pose an upside risk to inflation and that the ECB is not pre-committing to a specific interest rate path.
The European Central Bank (ECB) kept its three key interest rates unchanged, with Christine Lagarde stating that rising energy prices pose upside risks to inflation and that the ECB is not pre-committ
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The Federal Reserve will reduce the number of monetary policy meetings from eight to seven next year, breaking with decades of tradition.
The Federal Reserve has voted to maintain interest rates, despite rising inflation. Additionally, the Federal Reserve will reduce the number of monetary policy meetings next year from eight to seven,
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Bond investor Jeff Gundlach: The Federal Reserve should raise interest rates by 50 basis points in September, concerned that inflation is not being taken seriously enough.
DoubleLine founder Jeff Gundlach stated that the Federal Reserve should raise interest rates by 50 basis points at its September meeting, rather than gradually, after the Fed's decision on Wednesday t
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Federal Reserve Chairman Warsh: The Federal Reserve has decided to adjust the FOMC meeting schedule in the fall of next year, with 6 policy-setting meetings expected in 2028.
Federal Reserve Chairman Warsh stated that the Federal Reserve has decided to adjust the FOMC meeting schedule next autumn. There will still be 8 meetings annually, but one of these meetings will not
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Federal Reserve Chairman Warsh: The Federal Reserve will have one meeting in 2027 without a monetary policy vote, and two meetings in 2028 focused on policy strategy.
Federal Reserve Chairman Warsh stated that the Federal Reserve plans to hold 8 meetings in 2027, but one of them will not involve a vote on monetary policy settings, focusing instead on strategy. In 2
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Fed's Warsh: We have clearly articulated our readiness to act and demonstrated our willingness to do so.
Fed's Warsh: We have clearly articulated our readiness to act and demonstrated our willingness to do so.
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U.S. Treasury yields rose ahead of the Federal Reserve's interest rate decision later today, with yields moving higher during Wednesday's Asian trading session.
U.S. Treasury yields rose ahead of the Federal Reserve's interest rate decision later today, with yields moving higher during Wednesday's Asian trading session.
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Asia's central banks are blindsiding markets with their rate calls, a trend expected to continue.
Asia's central banks are blindsiding markets with their rate calls, a trend expected to continue.
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Japan's Services Producer Price Index Annual Inflation Rose to 3.7% in September
Japan's Services Producer Price Index (SPPI) annual inflation rate rose to 3.7% in September, but the slowdown in price growth for labor-intensive services and the stable inflation rate excluding inte
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A measure of underlying inflation in Japan surged to a three-year high
A measure of underlying inflation in Japan surged to a three-year high, with consumer prices excluding fresh food and special factors rising 3.2% year-on-year in September, accelerating from 2.6% in t
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wrote in Securities Times that DR001 has become the target interest rate for the People's Bank of China's monetary policy adjustments
Lou Feipeng, a researcher at Postal Savings Bank of China, wrote in Securities Times that DR001 has become the target interest rate for the People's Bank of China's monetary policy adjustments. The Pe
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broader price increases could slow the pace of inflation returning to target and lead to monetary policy remaining tighter for longer
Fitch Ratings' Head of US Economics stated that the breadth of US inflation had expanded before the recent acceleration in headline inflation, indicating that the rise in inflation was not solely due
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South Korean brokerages are warning of further downside in the Kospi as foreign selling and weakening trading activity weigh on stocks
South Korean brokerages are warning of further downside in the Kospi as foreign selling and weakening trading activity weigh on stocks. Korea Investment & Securities has identified 5,200 as a potentia
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Investors in US and European banks' riskiest debt (AT1s) are demanding more compensation on new deals as the easy-money run fades.
Investors in US and European banks' riskiest debt (AT1s) are demanding more compensation on new deals as the easy-money run fades.
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The Bank of Japan (BOJ) may officially declare it has achieved its 2% inflation target at next week's meeting, signaling an exit from its "anti-deflation mode."
According to Kyodo News, the Bank of Japan (BOJ) will hold its monetary policy meeting from October 29 to 30, where it will make an official judgment on whether the inflation rate has reached its long
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ECB official Philip R. Lane: Enhance the EUREP international liquidity tool to support monetary policy transmission in the Euro area.
Philip R. Lane, Member of the Executive Board of the European Central Bank, stated that the ECB has enhanced its international liquidity tool, the Eurosystem Repo Facility for central banks (EUREP), t
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Analysts point out that the People's Bank of China (PBOC) may be entering a multi-month transition period to shift towards an overnight policy rate as its benchmark. This would necessitate more frequent use of new candidate benchmark tools for liquidity operations to test market reactions.
Analysts point out that the People's Bank of China (PBOC) may be entering a multi-month transition period to shift towards an overnight policy rate as its benchmark. This would necessitate more freque
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China's October LPR quotes are out: the 1-year LPR remains at 3.0%, and the over-5-year LPR at 3.5%, both unchanged for 17 consecutive months.
China's October LPR quotes are out: the 1-year LPR remains at 3.0%, and the over-5-year LPR at 3.5%, both unchanged for 17 consecutive months.
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China's central bank signals that the overnight reverse repo rate will replace the seven-day rate as its main policy benchmark, further aligning with global peers.
China's central bank signals that the overnight reverse repo rate will replace the seven-day rate as its main policy benchmark, further aligning with global peers.
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Federal Reserve Chairman Warsh: AI will "fundamentally change the implementation of monetary policy" by improving forecasting.
Former Federal Reserve Governor Kevin Warsh stated that artificial intelligence will "fundamentally change the conduct of monetary policy" by improving forecasting. He noted that the Federal Reserve c
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Federal Reserve Chairman Warsh: AI is the most profound economic transformation of my lifetime; the October and December FOMC meetings are crucial.
Federal Reserve Chairman Kevin Warsh stated at the IMF and World Bank Annual Meetings that artificial intelligence is the most profound economic transformation he has witnessed in his lifetime, and th
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Fed Chair Warsh: AI is the "most consequential change" to the global economy in his lifetime, predicting positive effects but a "bumpy" path
US Federal Reserve Chair Kevin Warsh stated on Friday that AI technology represents the "most consequential change" to the global economy he has witnessed. He predicted its effects would be positive,
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The Indian Rupee rebounded from historic lows after active intervention by the central bank, but pressure is mounting in the foreign exchange market.
The Indian Rupee rebounded from historic lows after active intervention by the central bank, but pressure is mounting in the foreign exchange market.
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The Impact of Central Bank Digital Currencies on Monetary Policy: Global Progress and In-depth Analysis
Central Bank Digital Currencies (CBDCs), as digital fiat money issued by central banks, are profoundly reshaping the global monetary policy landscape. This article will delve into how CBDCs function by strengthening transmission mechanisms, influencing financial stability, enhancing the precision of policy tools, and reshaping the international monetary system. We will examine the latest developments in projects such as China's Digital Yuan, Europe's Digital Euro, and the mBridge, analyzing the perspectives and design considerations of various parties regarding CBDCs to help readers fully understand their potential impact.
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Money Supply and Inflation: Understanding Their Complex Relationship
There is a close link between money supply and inflation, with the quantity theory of money being the core theory explaining this relationship. However, as financial markets develop and economic structures change, this relationship has become increasingly complex, not a simple linear transmission. Central banks manage the money supply through monetary policy to achieve goals such as price stability and economic growth, but the formation of inflation is influenced by a combination of multiple factors and requires a multi-dimensional examination.
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Profound Impact and Current Status Analysis of Ethereum's Monetary Policy Post-Merge
The Merge, Ethereum's transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS), and the implementation of EIP-1559 have revolutionized ETH's monetary policy. Daily new issuance has been drastically reduced by approximately 88%, and the annualized inflation rate has significantly decreased. Although recent data shows a slight increase in Ethereum's supply, its overall scarcity narrative has been strengthened, and the liquidity issue of staked ETH has been resolved, making it a more efficient and environmentally friendly blockchain network.
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Why is Bitcoin thriving but struggling to replace the US dollar?
Bitcoin has achieved significant growth and widespread acceptance globally, thanks to its decentralization, scarcity, censorship resistance, and its narrative as "digital gold" for value storage. However, its inherent drastic price volatility, transaction speed limitations, lack of universal fiat currency status, and governments' control over monetary policy make it difficult to become a stable everyday transaction medium and global reserve currency like the US dollar. Bitcoin and the US dollar each play different roles, and it is difficult for them to replace each other in the short term.
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USDT (USDT) and Global Monetary Policy: Far-Reaching Implications for Traditional Financial Stability
As of July 2026, USDT (USDT)—the world’s largest stablecoin—had reached a market capitalization of approximately $184 billion and plays a central role in the crypto ecosystem. Its reserve composition has shifted significantly toward U.S. Treasury bonds, making it a major holder of U.S. government debt.This article will explore the latest developments regarding USDT in terms of reserve transparency and global regulatory compliance (such as the U.S. GENIUS Act and the EU’s MiCA), and provide an in-depth analysis of how its growing influence poses potential challenges to central banks’ monetary policy transmission mechanisms, the banking deposit base, and overall financial stability.
Monetary Policy
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